One DVD format to rule them all

Toshiba and Sony are in talks to unify next-generation DVD standards. Does …

Remember the VHS-Beta wars? The possibility of history repeating itself has loomed over the video market with the imminent release of both Blu-ray and HD-DVD discs. Today, however, Japanese business daily Nihon Keizai Shimbun reported that Toshiba and Sony were discussing the possibility of a "hybrid" DVD format for next-generation discs. Both companies have agreed that a unified optical disc standard would be mutually beneficial and are likely to find a compromise between their competing products as early as this month according to the Nihon Keizai.

"This is good news for the industry as a whole because it will help penetrate DVDs into homes ... it might also help DVDs improve their content," said Kazuharu Miura, an analyst at Daiwa Institute of Research.

"Now I'm interested to see how soon the makers can come out with products with standardized technology ... because the move might slow down the launch (of products) and might let rivals such as Taiwanese makers, that came into the market later, advance in the competition."

The possibilities for creating a single solution include Sony using its Blu-ray disc structure with the HD-DVD software technology. Toshiba has proposed using the HD-DVD disc structure, which closely resembles that of today's DVDs, and employing Sony's multi-layer data recording technology. Although Blu-ray discs have a larger capacity (50GB versus HD-DVD's 30), Toshiba claims that HD-DVD discs will be cheaper to make, saying that Blu-ray will require extensive retooling of existing manufacturing facilities.

While compromising on a DVD standard would ensure the end of the three-year battle between Blu-ray and HD-DVD, it also offers a larger market for both rival groups and will aid in adoption. Consumers will benefit from higher-quality video and audio and additional interactive elements; gamers will see the convenience of having console titles on a single disc along with improved graphics. Either way, Toshiba and Sony will still get their pound of flesh ? tomorrow's DVD players are already available in Japan today.

[Earlier this week there were reports that Sony was not going to compromise, based off of comments by a Sony spokesman in Tokyo. Those comments were summarized and reported by both IDG and the MotleyFool, leading us to believe that the comments were, in fact, made. However, whether or not it was a misunderstanding or a mistake, more recent comments indicate that things are looking better. We hope this explains the quick change in reporting. -Ed.]